Demystifying blockchain penetration testing – JAXenter

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Half a billion dollars worth of bitcoin was stolen from the world’s largest Bitcoin exchange in 2014. About $ 60 million of ether was redirected to an anonymous account via the autonomous decentralized organization ( CAD) based on Ethereum. In 2017, the second largest successful attack in the world for Bitcoin took place at Bitfinex, the amount was almost $ 72 million.

Blockchain technology has revolutionized the way we work and live. With its unrivaled potential, it has given us complete control over our financial transactions, healthcare and many other activities that previously required more confidentiality and transparency. Blockchain technology has definitely given a new layer of security and improved the efficiency of the digital business ecosystem.

SEE ALSO: Is the blockchain the solution to Internet insecurity? These two projects say yes.

Understanding blockchain

The buzzword “blockchain” has created a flow on the digital ecosystem in recent years. To understand, it’s not just cryptocurrency, in fact, it’s a time-stamped chain of immutable records called blocks that are linked cryptographically.

Blockchain is an openly distributed ledger that records transactions for any digital asset. These digital assets can be managed either by smart contracts (for example: ERC tokens) or by the main cryptocurrency of the blockchain network (for example: Bitcoin or Ethereum).

The blockchain network begins with the configuration of the “genesis” block. As the name suggests, “genesis” is the very first block in the blockchain whose previous block hash is 0x000. More blocks are then added to the chain depending on consensus and configurations, such as block duration, block size, etc.

Blocks, including internal transactions, are committed and added to the chain, which cannot be changed during a later change. Any modification of the chain leads to the creation of a new transaction, which makes it traceable. This is the basic functionality of a blockchain network.

What is the blockchain penetration test?

Penetration testing works with the mindset of a potential hacker, effectively exploiting coding errors. In simpler terms, the tester himself acts like a hacker and tries to enter the network to detect and report security breaches. The overall time taken by a penetration tester depends on the size of the network and the complexity of its architecture. The smaller tests are a matter of time while the longer tests can take up to weeks. Some of the challenges that require blockchain penetration testing as a solution are:

  • Lack of testing tools
  • Insufficient knowledge
  • Unqualified strategies
  • Irreversible transactions
  • Performance and load tests

Efficient blockchain testing helps organizations create and use technology securely with connected infrastructure. The testing process includes basic testing strategies and services, such as cloud testing services, functional testing, API testing, integration testing, security testing, and performance testing. It also includes blockchain-specific testing strategies such as block testing, smart contract testing, and peer / node testing.

Functional test – This test assesses case scenarios and business scenarios. The components considered by the testers are:

Block and chain size – Transactions at the most basic level consist of data which is made up of the transaction information itself, which takes up space. Although questionable, each block currently contains 1 MB of data. This size should be checked and tested regularly. In addition, there is no limit to the size of the chain and it continues to increase over time. Testers must test the functionality and performance of the chain to keep it under control.

Adding blocks – After the authentication of each transaction, the testers validate the blocks and add them to the chain. As stated earlier, the chain cannot be changed, so validating blocks before adding makes it an extremely crucial process.

Data transmission – Blockchain involves a peer-to-peer architecture, which makes it essential for testers to validate the encryption and decryption of data and make it flawless. The goal is to ensure minimal or no data loss.

API test – API tests consist in keeping control over the interaction of the application with the blockchain ecosystem. This is done in order to validate the requests and responses sent by the API and to ensure that they are formatted and executed correctly

Integration test – The need for integration tests is increasing due to the deployment of blockchain tests in different environments and parallel systems. Tests are carried out to ensure that the different components speak to each other transparently. Test teams test the API to ensure that these APIs can be used during the validation phase.

Performance Test – Blockchain performance tests determine potential bottlenecks and check whether the application is ready for production or not. Automating tests to determine performance is key to checking the overall scalability of the blockchain.

Security Test – The aim is to ensure that blockchain applications are completely secure against attacks such as viruses and malware. Blockchain security testing needs to be extremely thorough and responsive. A transaction in progress cannot be stopped and the testing process must therefore be efficient enough to discover all the potential threats. Effective security testing also helps improve the company’s process for revoking defective products before the consumer is in danger, which helps to gain digital quality assurance.

Discover below some of the functionalities exploited by the different industries of the digital ecosystem:

  • Health care – Medical check and record keeping, complaints handling
  • Retail – Fraud mitigation, confidentiality of consumer data
  • Communication – Network access and controls, protection of mobile wallets
  • Media – Anti piracy, payment methods, digital transfers
  • Finance – Cross channel payments, securing commercial transactions
  • Guarantee smart contracts
  • Robust digital insurance solutions

It is a self-executing contract containing the terms of the agreement between the parties involved, written in the lines of code. These contracts containing the code and the terms of the agreement are then distributed on the decentralized blockchain network. Smart contracts allow reliable transactions between anonymous parties without the presence of a central legal system.

Tools for blockchain penetration testing

It is also important for a tester to choose the most appropriate blockchain pentesting tool in order to mitigate vulnerabilities and provide the best quality results. We highly recommend the tools mentioned below to test blockchain-based applications:

The truffle frame – Truffle is one of the most preferred development environments and a test framework for blockchain testing. Truffle offers easy lifecycle management for smart contracts, including support for library links, custom deployment, and complex blockchain-based applications. Truffle also offers automated contract testing where developers can write their own automated test codes using JS and Solidity. Some of its salient features are:

  • Immediate reconstruction of assets under development
  • Configurable build pipeline with full support for custom build processes
  • Scriptable deployment and migration framework
  • Direct contractual communication with interactive console

Embark – Embark offers a simple declarative approach to define the Smart Contracts to deploy, as well as their dependencies.

Ethereum tester – Provides manageable API support for various blockchain testing requirements. It aims to improve the user and developer experience and help them easily manage and run the chosen tools.

Populus – The tests here are powered by the python testing framework and provide useful utilities for testing smart contracts.

SEE ALSO: The cross skills of the blockchain developer of tomorrow

Conclusion

The blockchain is the standard bearer of all modern secure transactions. Due to the continuous evolution of blockchain testing, there has been no standard guideline for the same. The lack of knowledge in this space often leads engineers to design according to a personal choice which ultimately does not meet organizational requirements. On the contrary, outsourced blockchain security and testing experts with their comprehensive knowledge base help their customers build and use blockchain technology on their connected infrastructure.

Services include an in-depth manual review of the smart contract, security controls, processes and access controls as well as lateral movements within a blockchain registry network. We also offer detailed environmental tests that include mobile and web applications, APIs, networks and more.

Related posts


Half a billion dollars worth of bitcoin was stolen from the world’s largest Bitcoin exchange in 2014. About $ 60 million of ether was redirected to an anonymous account via the autonomous decentralized organization ( CAD) based on Ethereum. In 2017, the second largest successful attack in the world for Bitcoin took place at Bitfinex, the amount was almost $ 72 million.

Blockchain technology has revolutionized the way we work and live. With its unrivaled potential, it has given us complete control over our financial transactions, healthcare and many other activities that previously required more confidentiality and transparency. Blockchain technology has definitely given a new layer of security and improved the efficiency of the digital business ecosystem.

SEE ALSO: Is the blockchain the solution to Internet insecurity? These two projects say yes.

Understanding blockchain

The buzzword “blockchain” has created a flow on the digital ecosystem in recent years. To understand, it’s not just cryptocurrency, in fact, it’s a time-stamped chain of immutable records called blocks that are linked cryptographically.

Blockchain is an openly distributed ledger that records transactions for any digital asset. These digital assets can be managed either by smart contracts (for example: ERC tokens) or by the main cryptocurrency of the blockchain network (for example: Bitcoin or Ethereum).

The blockchain network begins with the configuration of the “genesis” block. As the name suggests, “genesis” is the very first block in the blockchain whose previous block hash is 0x000. More blocks are then added to the chain depending on consensus and configurations, such as block duration, block size, etc.

Blocks, including internal transactions, are committed and added to the chain, which cannot be changed during a later change. Any modification of the chain leads to the creation of a new transaction, which makes it traceable. This is the basic functionality of a blockchain network.

What is the blockchain penetration test?

Penetration testing works with the mindset of a potential hacker, effectively exploiting coding errors. In simpler terms, the tester himself acts like a hacker and tries to enter the network to detect and report security breaches. The overall time taken by a penetration tester depends on the size of the network and the complexity of its architecture. The smaller tests are a matter of time while the longer tests can take up to weeks. Some of the challenges that require blockchain penetration testing as a solution are:

  • Lack of testing tools
  • Insufficient knowledge
  • Unqualified strategies
  • Irreversible transactions
  • Performance and load tests

Efficient blockchain testing helps organizations create and use technology securely with connected infrastructure. The testing process includes basic testing strategies and services, such as cloud testing services, functional testing, API testing, integration testing, security testing, and performance testing. It also includes blockchain-specific testing strategies such as block testing, smart contract testing, and peer / node testing.

Functional test – This test assesses case scenarios and business scenarios. The components considered by the testers are:

Block and chain size – Transactions at the most basic level consist of data which is made up of the transaction information itself, which takes up space. Although questionable, each block currently contains 1 MB of data. This size should be checked and tested regularly. In addition, there is no limit to the size of the chain and it continues to increase over time. Testers must test the functionality and performance of the chain to keep it under control.

Adding blocks – After the authentication of each transaction, the testers validate the blocks and add them to the chain. As stated earlier, the chain cannot be changed, so validating blocks before adding makes it an extremely crucial process.

Data transmission – Blockchain involves a peer-to-peer architecture, which makes it essential for testers to validate the encryption and decryption of data and make it flawless. The goal is to ensure minimal or no data loss.

API test – API tests consist in keeping control over the interaction of the application with the blockchain ecosystem. This is done in order to validate the requests and responses sent by the API and to ensure that they are formatted and executed correctly

Integration test – The need for integration tests is increasing due to the deployment of blockchain tests in different environments and parallel systems. Tests are carried out to ensure that the different components speak to each other transparently. Test teams test the API to ensure that these APIs can be used during the validation phase.

Performance Test – Blockchain performance tests determine potential bottlenecks and check whether the application is ready for production or not. Automating tests to determine performance is key to checking the overall scalability of the blockchain.

Security Test – The aim is to ensure that blockchain applications are completely secure against attacks such as viruses and malware. Blockchain security testing needs to be extremely thorough and responsive. A transaction in progress cannot be stopped and the testing process must therefore be efficient enough to discover all the potential threats. Effective security testing also helps improve the company’s process for revoking defective products before the consumer is in danger, which helps to gain digital quality assurance.

Discover below some of the functionalities exploited by the different industries of the digital ecosystem:

  • Health care – Medical check and record keeping, complaints handling
  • Retail – Fraud mitigation, confidentiality of consumer data
  • Communication – Network access and controls, protection of mobile wallets
  • Media – Anti piracy, payment methods, digital transfers
  • Finance – Cross channel payments, securing commercial transactions
  • Guarantee smart contracts
  • Robust digital insurance solutions

It is a self-executing contract containing the terms of the agreement between the parties involved, written in the lines of code. These contracts containing the code and the terms of the agreement are then distributed on the decentralized blockchain network. Smart contracts allow reliable transactions between anonymous parties without the presence of a central legal system.

Tools for blockchain penetration testing

It is also important for a tester to choose the most appropriate blockchain pentesting tool in order to mitigate vulnerabilities and provide the best quality results. We highly recommend the tools mentioned below to test blockchain-based applications:

The truffle frame – Truffle is one of the most preferred development environments and a test framework for blockchain testing. Truffle offers easy lifecycle management for smart contracts, including support for library links, custom deployment, and complex blockchain-based applications. Truffle also offers automated contract testing where developers can write their own automated test codes using JS and Solidity. Some of its salient features are:

  • Immediate reconstruction of assets under development
  • Configurable build pipeline with full support for custom build processes
  • Scriptable deployment and migration framework
  • Direct contractual communication with interactive console

Embark – Embark offers a simple declarative approach to define the Smart Contracts to deploy, as well as their dependencies.

Ethereum tester – Provides manageable API support for various blockchain testing requirements. It aims to improve the user and developer experience and help them easily manage and run the chosen tools.

Populus – The tests here are powered by the python testing framework and provide useful utilities for testing smart contracts.

SEE ALSO: The cross skills of the blockchain developer of tomorrow

Conclusion

The blockchain is the standard bearer of all modern secure transactions. Due to the continuous evolution of blockchain testing, there has been no standard guideline for the same. The lack of knowledge in this space often leads engineers to design according to a personal choice which ultimately does not meet organizational requirements. On the contrary, outsourced blockchain security and testing experts with their comprehensive knowledge base help their customers build and use blockchain technology on their connected infrastructure.

Services include an in-depth manual review of the smart contract, security controls, processes and access controls as well as lateral movements within a blockchain registry network. We also offer detailed environmental tests that include mobile and web applications, APIs, networks and more.

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